Defining Your Book of Business

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With the Department of Labor ruling and the ever-changing marketplace, there are many advisors looking to add life insurance to their repertoire. We’ve come up with some easy steps to follow when considering what to sell and who to sell to. These concepts can be easy to incorporate, can help strengthen your relationship with your clients, and can remind them to come to you — their one-stop shop — for all their needs.

Family Planning
The target demographic is people who are in the middle to upper income bracket, are family-oriented, and have dependents or a spouse/partner. This is a great opportunity to do a life insurance review. Find out what types of insurance they have and if they have an adequate amount. This is also an opportunity to discuss long-term strategies that use life insurance to build cash value. Borrowing against the cash value can help fund a retirement or pay for college. Also, the living benefits through a chronic care rider can be used to help guard against illness during life. Here is an example of how to begin a conversation:

  • When was the last time you reviewed your life insurance coverage?
  • Are the types and amounts adequate?
  • Are you aware that life insurance can build cash value?
  • Do you know the benefits life insurance can provide?

Business Owner
Ask your clients and CPA colleagues if they own a mature business — at least three years old or older — that has a positive cash flow. With the business owner, you want to discuss these key life insurance strategies: buy-sell arrangements, key person insurance, and executive bonus plans. If they have key employees, you can also discuss implementing golden handcuffs — a rewarding system for key employees to help keep them in the business and at the company — then paying into a cash value policy that the employee can have at a later time for income during retirement. Here are example questions you may consider asking a business owner:

  • Do you know how to protect ownership?
  • Which employees are the hardest to replace?
  • What will happen to the business if those employees leave?

Higher-Net-Worth Clients
Clients with a higher net worth typically have $2,000,000 or more, are 55 years of age or older, and are inclined to leave money to a charity and protect their estate for their beneficiaries. Higher-net-worth clients can benefit from learning more about estate protection, asset-based long-term care, income protection, and college planning. They may also be looking to help provide for grandkids in the future. Here are a few questions to begin the conversation:

  • How do you plan on leaving a legacy?
  • Do you have funds set aside to insure your estate?
  • Where is your smart money? Liquid money?

High-Income Earner
High-income earners usually have a six-figure income and are under the age of 60. Areas of interest for these clients are typically tax-efficient income strategies in retirement, college planning alternatives, and income replacement if they were to pass away. Here are a couple example questions to ask:

  • How are you protecting your family’s lifestyle?
  • Do you have a secondary retirement plan to provide flexibility at distribution?

You can use these talking points and suggested approaches for CPAs, attorneys, and your clients when wanting to discover what to sell and how. Happy selling!

For insurance professional use only. Not for distribution to members of the public.
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Stephen Odom, CEO of The Impact Partnership


Chief Executive Officer

Stephen started in the insurance marketing business in 2001 as a new business consultant. In 2002 he was promoted to Director of Sales and built a 200 million book of business from scratch. By 2005, he was one of the top wholesalers in the country, working with some of the top financial advisors and insurance agents across the USA. In 2008, Stephen was promoted to Co-President of one of the largest IMOs in the country.

In 2011, Stephen continued his entrepreneurship path and co-founded The Impact Partnership, an INC 5000 company. Stephen is responsible for the strategic vision of Impact and is laser-focused on creating a culture of growth for both internal teammates and our amazing customers.

Stephen lives in Kennesaw, GA, with his wife of more than 20 years, Kendra. They are blessed with three beautiful children Katie, Tyler, Anna Brooke, and Laya, their German Shepherd and Luna, their BernieDoodle.